"It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." ~ George Soros

$PGOLD: When a strong growth story disappoints…

Here we go… $PGOLD down 20% from 42 to 34+. Main reason was company’s profit margins narrowed as competition–SM and RRHI–became tougher.

PGOLD was a strong growth name because it focused on the mass segment, something that the staple grocers didn’t put strong attention before. Now, its competitors are aggressively tapping into the same market. Everything’s tighter now for these retailers from hereon–thus the dent on PGOLD’s earnings. Also there’s this issue bout congestion in our ports, which may have affected retailers such as PGOLD? (just heard it from someone else)

1H14 earning shrank by 12% vs 1H13’s.

Time to capitalize on the panic. Depending on your time frame, risk tolerance, and strategy, I think It’ll be worth a shot picking tranches at the 30.5 – 32.5 range. 🙂 Of course, this is just my take. Anything can happen. It can even break down to 28-29, but what would you do when it goes there? Know what you’re buying 🙂

Personally, I got a minor position at 33.60, but will accumulate this shiz on the next following days/weeks. It’s all about how you look at the event.